The Profit Participation Agreement is a ready-to-use finance & investment template you can send for signature in minutes. It is written for 2 signers (company and participant) and, by default, expires 30 days after it is sent if left unsigned. It covers two signers, agreement. Like every Abundera Sign template it is a convenience draft structured for ESIGN Act and UETA compliance, not a substitute for legal advice. Each signed copy is sealed with PAdES-LTA digital signatures, dual RFC 3161 timestamps, and a tamper-evident evidence package in WORM storage.
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# Profit Participation Agreement **Effective Date:** ___________ This Profit Participation Agreement ("Agreement") is entered into by and between: **Company:** ___________ ("Company") **Participant:** ___________ ("Participant") ## 1. Recitals The Company operates or intends to operate the following business venture: **Venture/Project:** ___________ ___________ The Company desires to grant the Participant a right to participate in the profits of the venture, and the Participant desires to accept such participation, subject to the terms of this Agreement. ## 2. Profit Participation Right The Company hereby grants the Participant a profit participation right equal to ___________% of Net Profits (as defined below). **Type of Participation:** ___________ This profit participation right is ___________ and does not constitute an equity interest, ownership stake, or partnership interest in the Company. ## 3. Definition of Net Profits "Net Profits" shall mean the gross revenue of the venture, less: (a) Cost of goods sold or direct costs of service delivery; (b) Operating expenses directly attributable to the venture; (c) ___________; ___________